Benefits of IT Outsourcing

The outsourcing trend stands to continue; IT outsourcing keeps being one of the most important industry sectors of such economics as the Ukrainian one. We’ve already talked so much about the financial and business benefits of outsourcing IT services. But we haven’t discussed the social benefits for people who are working in IT outsourcing companies.

So we’re launching a series of blog posts, the main idea of which is to describe the social benefits of IT outsourcing with real stories from real people.


The main financial and business benefits of IT outsourcing are:

  • Improved company focus on the core business and its products;
  • Reduce and control operating and labor costs;
  • Start new projects and implement new technologies quickly;
  • Get experienced, certified, and qualified outsourced employees;
  • Save on infrastructure and technology;

And many others.

But let’s think about the social benefits of IT outsourcing. All of them can be divided into several different groups:

1. Education and Skills Improvement:

  • Training initiatives inside the companies;
  • Training centers (free and paid, private and government);
  • Organizing IT events like meetups, conferences, hackathons, presentations, webinars and others;
  • Pushing the Universities to keep up with new trends by launching educational programs and courses in partnership with IT companies.

2. Adds a middle class into the society.

In almost all developing countries, there is only an upper class and lower class. By adding a middle class, because of a stable income in the foreign currency, the local economy receives financial benefits as the middle class buys real estate and cars, spends money for green tourism and so on.

3. Brings reforms to the country.

Employees who are working in the IT outsourcing countries travel a lot to the Western countries because of business trips, IT conferences etc. After such trips they see how things are working in those countries and bring the ideas into their own countries. These ideas could be divided into two groups:

Technical:

  • Modernization of Internet and cell services;
  • Improvement of business operations like CRM’s for business (Salesforce).

Non-technical:

  • Health;
  • Education;
  • Government services;
  • Customer services.

4. Promotes creating new home-grown IT and tech related startups.

Most IT outsourcing companies allow their employees to work on personal projects during working hours. The gained experienced, received during outsourcing projects, can be spent for their own startups and new business services.

5. Develops a new highly-educated generation.

The younger generations know more and more about new technologies and trends. Also some of them study not only English, but a second or even third foreign language at the same time. Most of them also see the financial and social benefits that they can achieve while working in an IT company.


So the tech companies should feel responsibility to provide this young generation with technologies and knowledge that will move forward the economy and the tech industry.

This is not a full list of all social benefits that IT outsourcing can bring to the employees involved in the IT sector. If you know some else benefits then share with us your ideas in the comments.